| You reduce the amount excluded from your gain per section 121 and then complete schedule D using an Unrecaptured Section 1250 Gain worksheet and the schedule D tax worksheet and tax table for the tax calculation.
Example of the first part for a single person:
Basis: 100,000
Amount realized: 350,000
Depreciation allowed after May 6, 1997: 50,000
Section 121 exclusion is 200,000 and the unrecaptured gain of 50,000flows through everything else. (But will probably be taxed at your marginal rate.)
__________________
When you are a Bear of Very Little Brain, and you Think of Things, you find sometimes that a Thing which seemed very Thingish inside you is quite different when it gets out into the open and has other people looking at it.
--W. T. Pooh (aka A. A. Milne) | 
03-17-2007, 10:52 AM
Linear Mode
